Monday, September 27, 2010

New projections from the federal Centers for Medicare and Medicaid paint a stark picture of the impact of the ObamaCare law: We're in for a massive redistribution of health resources.

When the projections were released this month, news reports stressed that the president's "reform" utterly fails to slow the growth of health-care spending. Every year through 2019, employers and consumers will face higher premiums than if the law hadn't passed.

But worse news is how radically the Obama law spreads the health wealth around.

In 2014, a staggering 85.2 million people -- 31 percent of all nonelderly Americans -- will be on Medicaid and CHIP (the Medicaid-like children's health program). This accounts for the majority of those who'd gain health coverage. Amazingly, only 3 percent more people will have private insurance.

President Obama pledged to reduce the number of uninsured by making health plans affordable -- but that's not how his law actually does it. Rather, it loosens Medicaid eligibility by raising the income ceiling and barring asset tests.